What would be the effect of a reduction in the corporate profits tax?
A) Investment would decrease,the production function would shift downward,productivity would decrease,and so would output.
B) Investment would increase,the production function would shift upward,productivity would increase and output would decrease.
C) Investment would increase,the production function would shift upward,and both productivity and output would increase.
D) Investment would decrease,the production function would shift downward,and both productivity and output would increase.
E) Investment would increase,the production function would shift upward,productivity would decrease and output would increase.
Correct Answer:
Verified
Q49: Reducing business taxes or providing specific investment
Q50: Q51: For the capital stock to grow,production of Q52: What would be the effect on the Q53: Government policies that help increase the skills Q55: Everything else equal,an increase in the supply Q56: If the capital stock increases faster than Q57: Reducing the government's budget deficit will certainly Q58: An increase in the demand for loanable Q59: As its capital stock increases,a nation will
A)
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